Mike Novogratz’s Galaxy Digital Holdings Reports $38.5 Million Income for Q2: “We’ve Crossed the Rubicon’

Galaxy Digital Holdings reported on Friday, August 14 that its comprehensive income for Q2 grew to $38.5 million. The figure reflects both net realized and unrealized gains from digital assets, as well as investing activities of $28.3 million.

In an earnings call, Galaxy Digital President, Chris Ferraro, said operating revenue growth is just over 24% for the first half of 2020 versus the same period last year.

Ferraro explained that “this is across all of our operating business lines, including asset management and advisory service fees, financing activities and derivative gains.”

In Q2, Galaxy Digital saw its over-the-counter (OTC) trading desk generate over $1 billion of the quarterly volume. According to Ferraro, this figure is Galaxy Digital’s “second-largest quarter by volume in operating history.”

The firm’s OTC volumes represent “over 15% sequential quarterly growth over Q1 and 46% sequential growth when compared to Q4 2019.” Ferraro also adds that when excluding equivalent option volume, “spot OTC volumes were still up 2% sequentially, while industry spot exchange volumes were down 17%.”

To Ferraro and his team this signals “a continuing market share gains for the Galaxy trading platform.”

Meanwhile, speaking earlier, Galaxy Digital CEO and Founder, Mike Novogratz remarked that he thought “we’ve crossed the Rubicon, and that everyone is scrambling to try to be in this business.”

Novogratz believes this question has been settled and bitcoin is now an asset while blockchains “are being deployed all over the place.”

Commenting on the market composition and the dropping bitcoin volatility, Novogratz says increasing institutional adoption will be good for the crypto market going forward.

“Listen, we were at 98% retail market. We’re not — we’re not anymore, but we’re — but we haven’t done a 50% market. What’s good about the institutional hands is they’re less leveraged, but it’s hard to get leveraged…

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